Do I need to advance funds to do cross-border e-commerce? Does it cost money to register a store?

Cross-border e-commerce is of interest to many people, because domestic e-commerce has gradually become saturated. If you engage in cross-border e-commerce, you will have more advantages. Do you need to advance funds to engage in cross-border e-commerce?

1. Do I need to advance funds to do cross-border e-commerce?

If you place an order for a cross-border e-commerce company without a source of goods, you need to pay in advance. Generally, it takes about one to two weeks to get the money back.

E-commerce without source of goods does not need to stock up, but it needs to advance payment for goods, and generally speaking, it needs to advance payment for a collection period. Taking Doudian without source of goods as an example, if you only run a store and make a few hundred orders a day to maintain basic life or earn pocket money, the working capital of about 20,000 is basically enough. But if you want to create a team, adopt the store group model, sell thousands of orders a day, and create a small hit group, then you need millions of funds for turnover. In short, it depends on the individual's operating ability and the specific order situation.

2. Does registering a store cost money?

As far as I know, many stores now require business licenses, and most of them must be limited companies, so you need to file taxes and so on, and you have to spend money on this. Of course, some platforms also require phone cards, so getting a foreign phone card is also a fee.

Secondly, purchasing necessary software is also an expense. Nowadays, cross-border e-commerce generally starts with general product promotion and then fine product promotion. It usually takes about 15 to 20 minutes to upload a product. In this case, our time cost will be very high. Therefore, in order to improve work efficiency, stores now generally have collection erp and logistics erp. The current market price is about 1000-1500 per month. Only in this way can you upload more product links in the shortest time, make the store as exposed as possible, and get more orders. Therefore, it is also necessary to purchase software for operating the store (perhaps there are other software that are not mentioned, so I will not explain them one by one, just give examples to illustrate)

The last and biggest cost is periodic deposit. Perhaps many people don’t know that we have two modes of e-commerce. One is drop shipping without source of goods. After receiving an order on the platform, we need to purchase in advance, and we have to advance the cost of logistics, platform commission and other expenses. The platform generally takes about 45 days to collect funds (AliExpress cross-border logistics starts at about 60 days), so we must deposit this part of the money in advance. Of course, the more you deposit, the more orders you will have, and the higher your profit will be. Generally, you don’t need too much in the early stage of startup. It is accumulated day by day. According to the first month, at least 20,000 to 40,000 (I mean the platform with less resident in the early stage), so that your store can really run.

Generally, you don't need to advance money to do cross-border e-commerce, because cross-border e-commerce requires you to spend money directly to purchase goods, and then ship the goods after consumers buy them. So you still need to invest some money in the early stage.

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